JWCA advises Nevro on a $200 million term loan to refinance its existing convertible

november 2023 | read press release

Transaction Background

Nevro Corporation (“NVRO” or “the Company”) engaged JWCA to advise on the refinancing of its ~$190mm convertible notes due April 2025

Nevro’s objectives included:

• Address convertible maturity prior to it becoming current (1 year to maturity)

• Extend the maturity of the existing notes while minimizing dilution

• Manage near-term cash interest

• Partner with a long-term investor

JWCA acted as financial advisor to Nevro on its term loan with Braidwell and the repurchase of ~80% of its existing convert, helping the Company with the following:

• Analyzed a range of potential financing alternatives to help the Company minimize dilution

• Negotiated with Braidwell on pricing, economic terms, and covenants to help Nevro meet its objectives

• Assisted with documentation review and negotiations

• Led investor outreach and execution of repurchase with top holders

Results

Nevro successfully executed the debt financing at attractive pricing and terms

Limited dilution to 2.6mm warrants vs a typical convert which would have been much more dilutive

Nevro was able to extend the maturity by ~4.7 years and repurchased ~80% of the existing 2025 convertible at a discount to par

Transaction was well-received by the market with NVRO trading up ~9% on the day following the announcement